US President Donald Trump has doubled down on his controversial remarks about annexing Canada, insisting in a Super Bowl Sunday interview that he is “serious” about the idea. Speaking with Fox News’ Bret Baier, Trump claimed that the US is losing $200 billion a year in trade with its northern neighbor and suggested that Canada would be "much better off" as part of the United States.

"Yeah, it is," Trump responded when asked if his idea of making Canada the 51st state was real. "I think Canada would be much better off being the 51st state because we lose $200 billion a year with Canada. And I’m not going to let that happen. Why are we paying $200 billion a year, essentially a subsidy to Canada?"

The claim that the US is subsidizing Canada is inaccurate. While America runs a trade deficit with Canada, largely due to energy imports, the US buys rather than subsidizes Canadian goods. In 2023, the trade gap in goods reached $72 billion, driven by Canadian oil and other natural resources that fuel American industries.

Trudeau calls it a real threat

Canadian Prime Minister Justin Trudeau reacted swiftly to Trump’s comments, calling them a “real thing” and warning that the former president’s push for annexation is tied to a broader economic and geopolitical strategy.

"Yes, I can confirm that Trudeau said his assessment is that what Trump really wants is not action on fentanyl or immigration or even the trade deficit, what he really wants is to either dominate Canada or take it outright," said Gil McGowan, president of the Alberta Federation of Labor, in a social media post.

Trudeau urged Canada to "think tactically and strategically" about how to navigate Trump’s escalating rhetoric, particularly as trade tensions between the two countries intensify.

"This is a moment," said Trudeau. "This is a time in our country's history that really matters."

The Canadian prime minister also acknowledged the risk of new US tariffs, after Trump agreed last week to a 30-day pause on his plan to impose 25% tariffs on imports from Mexico and Canada, along with a separate 10% tariff on Canadian oil, natural gas, and electricity.

Tariffs loom over US- Canada relations

Trump’s latest comments come amid tense trade negotiations. While he initially cited tariffs as a means to pressure Canada and Mexico into stronger action on illegal immigration and fentanyl trafficking, his wider economic policy suggests that tariffs are also intended to boost domestic manufacturing and federal revenue.

During his Fox News interview, Trump expressed frustration over what he perceives as Canada’s lack of military spending, questioning why the US should continue to provide defense support.

"You know, they don’t pay very much for military. And the reason they don’t pay much is they assume that we’re going to protect them," he said. "That’s not an assumption they can make because—why are we protecting another country?"

Meanwhile, aboard Air Force One, Trump told reporters he plans to announce a 25% tariff on all steel and aluminum imports, including those from Canada and Mexico, while also unveiling a new plan for reciprocal tariffs later in the week.

A political power move or a trade negotiation tactic?

Trump’s comments about annexing Canada have been met with outrage and skepticism, both in Canada and within the United States. While some political analysts see his remarks as a strategic attempt to exert pressure in upcoming trade negotiations, others warn that they could further strain US-Canada relations.

For Canadians, the idea of becoming the 51st US state remains deeply unpopular. A 2024 poll found that over 80% of Canadians oppose the idea of integration with the US, with many viewing it as an attack on national sovereignty and identity.

His rhetoric on Canada is likely to remain a flashpoint in US foreign policy. Whether this is merely political posturing or a genuine effort to shift US-Canada relations remains to be seen, but for now, Trudeau and his government are bracing for a new era of uncertainty with their southern neighbor.